TEXAS REAL ESTATE UPDATED EXAM SCRIPT QUESTIONS
AND ANSWERS SURE A+
Real property - ✔✔all the legal rights, powers, and privileges of real estate ownership.
The rights of ownership are often referred to as the bundle of rights.
✔✔Bundle of Rights - ✔✔1.Possession, 2.Use, 3.Encumber, 4.Exclusion, 5.Transfer
✔✔Personal Property - ✔✔movable rather than being permanently attached to real
estate
✔✔Chattel - ✔✔personal property
✔✔Fixture - ✔✔An item of personal property that has been converted to real property
by being permanently affixed to the realty. Ex: cabinets, carpet, built-in shelves
✔✔Emblements - ✔✔crops or any type of seasonal/annual plantings that are cultivated
for profit. These are classified as personal property.
✔✔Trade fixtures - ✔✔personal property that a business operator installs as part of the
business operations.
✔✔MARIA - ✔✔Method of Attachment, Adaptability, Relationship, Intention, Agreement
✔✔severance - ✔✔turning the item into personal property
✔✔Economic Characteristics of Land - ✔✔scarcity, improvements, permanence of
investment, area preference
✔✔Scarcity - ✔✔There's a limited supply of real property, particularly when considering
a specific area.
✔✔Improvements - ✔✔Adding improvements to real property affects its value.
✔✔Permanence of investment - ✔✔Investment in improving a property tends to be very
long term.
✔✔Area preference (location) - ✔✔The location of a parcel can dramatically affect its
value.
✔✔Physical Characteristics of Land - ✔✔Immobility, Indestructibility, Uniqueness
✔✔Immobility - ✔✔In general, land doesn't move.
, ✔✔Indestructibility - ✔✔This refers to the fact that land can't be destroyed.
✔✔Uniqueness - ✔✔Each property is unique.
✔✔Metes and bounds - ✔✔A method of land description which involves identifying
distances and directions and makes use of both the physical boundaries and
measurements of the land.
✔✔Lot and block - ✔✔A method of land description frequently used after land has been
subdivided into building lots; also referred to as the recorded plat method. (Must have a
plat map to find the property)
✔✔Government survey or rectangular survey - ✔✔This is a form of legal description
used in most central and western states. It uses a system of horizontal and vertical lines
that divide the land into squares called townships. The north-south lines are called
range lines. The east-west lines are called township lines. Each township is 36 square
miles. Each square mile is called a section. Property is identified by its location within a
township and section.
✔✔townships - ✔✔36 square miles
✔✔Survey - ✔✔licensed surveyor
✔✔Governmental Powers - ✔✔P.E.T.E: Police power, eminent domain, taxation,
escheat
✔✔Police power - ✔✔right of public entities to establish regulations regarding the use of
the land.
✔✔Eminent domain - ✔✔right of a public entity to take private property in exchange for
a fair price when the reason for the taking is for the public good.
✔✔Taxation - ✔✔government's right to impose property taxes
✔✔Escheat - ✔✔The state takes property upon an owners death if there is no will & no
heirs exist.
✔✔Condemnation - ✔✔administrative process by which the government exercises its
power of eminent domain.
✔✔Inverse Condemnation - ✔✔when a property owner believes the use of his or her
property has been destroyed by a government action or regulation, even if the
government hasn't officially taken the property.
AND ANSWERS SURE A+
Real property - ✔✔all the legal rights, powers, and privileges of real estate ownership.
The rights of ownership are often referred to as the bundle of rights.
✔✔Bundle of Rights - ✔✔1.Possession, 2.Use, 3.Encumber, 4.Exclusion, 5.Transfer
✔✔Personal Property - ✔✔movable rather than being permanently attached to real
estate
✔✔Chattel - ✔✔personal property
✔✔Fixture - ✔✔An item of personal property that has been converted to real property
by being permanently affixed to the realty. Ex: cabinets, carpet, built-in shelves
✔✔Emblements - ✔✔crops or any type of seasonal/annual plantings that are cultivated
for profit. These are classified as personal property.
✔✔Trade fixtures - ✔✔personal property that a business operator installs as part of the
business operations.
✔✔MARIA - ✔✔Method of Attachment, Adaptability, Relationship, Intention, Agreement
✔✔severance - ✔✔turning the item into personal property
✔✔Economic Characteristics of Land - ✔✔scarcity, improvements, permanence of
investment, area preference
✔✔Scarcity - ✔✔There's a limited supply of real property, particularly when considering
a specific area.
✔✔Improvements - ✔✔Adding improvements to real property affects its value.
✔✔Permanence of investment - ✔✔Investment in improving a property tends to be very
long term.
✔✔Area preference (location) - ✔✔The location of a parcel can dramatically affect its
value.
✔✔Physical Characteristics of Land - ✔✔Immobility, Indestructibility, Uniqueness
✔✔Immobility - ✔✔In general, land doesn't move.
, ✔✔Indestructibility - ✔✔This refers to the fact that land can't be destroyed.
✔✔Uniqueness - ✔✔Each property is unique.
✔✔Metes and bounds - ✔✔A method of land description which involves identifying
distances and directions and makes use of both the physical boundaries and
measurements of the land.
✔✔Lot and block - ✔✔A method of land description frequently used after land has been
subdivided into building lots; also referred to as the recorded plat method. (Must have a
plat map to find the property)
✔✔Government survey or rectangular survey - ✔✔This is a form of legal description
used in most central and western states. It uses a system of horizontal and vertical lines
that divide the land into squares called townships. The north-south lines are called
range lines. The east-west lines are called township lines. Each township is 36 square
miles. Each square mile is called a section. Property is identified by its location within a
township and section.
✔✔townships - ✔✔36 square miles
✔✔Survey - ✔✔licensed surveyor
✔✔Governmental Powers - ✔✔P.E.T.E: Police power, eminent domain, taxation,
escheat
✔✔Police power - ✔✔right of public entities to establish regulations regarding the use of
the land.
✔✔Eminent domain - ✔✔right of a public entity to take private property in exchange for
a fair price when the reason for the taking is for the public good.
✔✔Taxation - ✔✔government's right to impose property taxes
✔✔Escheat - ✔✔The state takes property upon an owners death if there is no will & no
heirs exist.
✔✔Condemnation - ✔✔administrative process by which the government exercises its
power of eminent domain.
✔✔Inverse Condemnation - ✔✔when a property owner believes the use of his or her
property has been destroyed by a government action or regulation, even if the
government hasn't officially taken the property.
